> The video game audience has decided, almost unanimously, that they don’t want generative AI in their games.

Nah, it's just a very vocal minority making lots of noise. We're slowly starting to see saner minds prevail, with steam backtracking on the ban of aigen and so on. People don't care if the end result is good. And the "but muh art" is just virtue signalling. I've used this example before, for me "art" is the fact that I can have a horse as my ruler in EU, not the fact that the horse might be generated by a diffusion model. Art is always in the eye of the beholder, or something.

On a more general note, like with the question "where are all the good open source projects", things will come. We're still in the learning phase of this new shiny toy that we got. It's only been 3 years since the tech is readily available, and maybe 2 years since people can take offline models and run with them. Give it time.

In the meantime, I see a lot of help from agentic coding in game dev. I've been following a space rouguelite thingy on itch, the developer has been pumping updates every other day, and the game is pretty much ready in ~1month. Sure, some updates broke stuff, some things didn't make much sense, but the speed with which the dev could take the feedback and pump out an update is remarkable. Small projects are doing it today. Larger projects will probably do it tomorrow.

My guess is that there's a big chance that the next "big thing" in gameplay w/ AI being somehow used will come from a smaller team / single dev type of thing, and not the big labs. Something genre-defining like minecraft or tarkov.